Good Morning. There was a time when investors hoped that the Fed would stop curtailing the stimulus program. Even though it was expected, the markets always reacted negatively to speculation as to what would happen when the Fed got out of the bond and mortgage backed securities purchasing program it has been in since the recession. Well now, we are about to find out.
The Fed released the minutes from its June meeting and targeted October to end its purchasing program. Surprisingly, investors reacted positively to the news and the market actually increased slightly. Now investors have accepted the fact that the program is going to end and they seem to be going about their daily business without getting caught up in the “what if” scenarios.